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A close, direct, or successive relationship; having a mutual interest or right.

Privity refers to a connection or bond between parties to a particular transaction. Privity of contract is the relationship that exists between two or more parties to an agreement. Privity of estate exists between a lessor and a lessee, and privity of possession is the relationship between parties in successive possession of real property.


n. contact, connection or mutual interest between parties. The term is particularly important in the law of contracts, which requires that there be "privity" if one party to a contract can enforce the contract by a lawsuit against the other party. Thus, a tenant of a buyer of real property cannot sue the former owner (seller) of the property for failure to make repairs guaranteed by the land sales contract between seller and buyer since the tenant was not "in privity" with the seller. (See: contract)


noun affiliation, attachment, connecting medium, connection, contractual bond, derivative interest, interconnection, legal relationship, link, mutual relationnhip, mutuality of interest, nexus, relation, relationship, successive relationship, tie
Associated concepts: privity of contract, privity of estate, privity of possession
See also: chain, nexus

PRIVITY. The mutual or successive relationship to the same rights of property. 1 Greenl. Ev. Sec. 189; 6 How. U. S. R. 60.

References in periodicals archive ?
The rationale for this approach is that parties who are in privity of contract can utilize warranty remedies and those who are not in privity of contract did not have the opportunity to bargain with the manufacturer or seller for any type of protection from defective products.
In her final ruling, Judge Chapman acknowledged that there is some ambiguity under Texas law as to whether horizontal privity of estate remains a requirement for a covenant to run with the land.
Thus, the privity requirement for collateral estoppel was not met, and the IRS was not precluded from arguing that the cash and property transfers that the state court determined were gifts were not gifts.
For those in privity with the owner, irrespective of whether such privity was created through oral or written agreement, the statutes do not mandate that a claim of lien arising from the care of a horse be recorded because it is presumed the owner is aware services are being rendered to the animal.
The privity doctrine, like every other common law rule, had generated substantial exceptions over its life.
Kinser: Privity once meant that a contract between the third party and auditor was required before any liability could exist.
Analogizing to the third-party beneficiary theory of liability applied in the estate planning context, the court found that "[d]etermining when attorneys should be held liable to parties with whom they are not in privity is a question of public policy," and asked "whether the primary or direct purpose of the transaction was to benefit the third party.
However, the court held that privity was not required, if there is some independent basis for the existence of a legal duty-apart from the "consensual transaction" between a physician and patient-that arose out of the unique circumstance of the case.
The concept of privity involves examining whether there was some sort of direct contact between the two parties.
The court explained the doctrine of tacking successive prescriptive periods together to satisfy the element of continuous adverse use does not apply to concurrent users within a class when the members are not in privity of title.
But for a unit owner to claim that a vendor's negligent misrepresentations resulted in compensable harm to them, they must show either actual privity of contract with the vendor or a relationship so close as to approach that of privity.
Case law is consistent that in absence of privity, a cause of action may not be maintained for breach of contract (Plaisir v Royal Home Sales,--AD3d--,--, 2011 NY Slip Op.